In accordance with the Plan Agreement and Disclosure, the custodial fees described herein are incorporated into the Account Holder Plan Agreement.
Annual record keeping fees are not prorated, and, unless payment for this fee is submitted directly to New Direction Trust Company (NDTCO) prior to the fee(s) due date, any unpaid fee(s) will be withdrawn from the undirected funds (to be defined as any cash in the Custodial Account not invested pursuant to a specific investment direction by you). All transaction-related fee(s) are due prior to funding the transaction. All fee(s) paid from your account will be reflected on your statement. If there are insufficient undirected funds in the Account Holder’s custodial account, NDTCO, after 30-day written notification to the Account Holder, may liquidate other custodial assets held in Account Holder’s account to pay for any unpaid fee(s).
NDTCO shall be entitled to receive, from the custodial assets held in the Custodial Account, a fee equal in amount to all income that is generated from any undirected cash which is held by the Custodian in a deposit or product of an FDIC – or other United States government-insured financial institution, United States government securities, or securities that are insured or guaranteed by the United States government. NDTCO’s fees from the undirected funds in the Custodial Account are associated with cash management activities including but not limited to, account maintenance, depository bank selection, transaction processing, sub-accounting, record keeping, and other services performed under the terms of the Plan Agreement. NDTCO retains the right, but does not have the obligation, to reduce this fee by rebating a portion of the fee into the Custodial Account. You as the Depositor agree that this fee may be retained by NDTCO as compensation for the services provided by NDTCO under the Plan Agreement. NDTCO reserves the right to change all or part of the Custodial Fee Schedule at its discretion with 30 days advance written notice to Depositor.
If any fee(s) are not paid within thirty (30) days after NDTCO has provided written past due notice to the Account Holder, NDTCO may begin the process of closing the account. Any asset distributed directly to the Account Holder as a result of the account closing will be reported to the IRS on Form 1099 and may subject the Account Holder to possible taxes and penalties. Accounts with past due fees, unfunded accounts, and accounts with zero value, will continue to incur administrative fees until such time as the Account Holder notifies NDTCO of intent to close the account or until NDTCO resigns as Custodian.
Annual Administration: Mortgages used to purchase real estate are considered a separate custodial asset and will be billed at the $215 rate. Annual fees which are identified as “Semi-Annual” are charged when the account purchases a custodial asset but will be charged on a semi-annual basis thereafter. For real estate with a mortgage, the custodial account’s total value will be calculated based on the full value of the property including the mortgage.
Asset-Specific Administration: Certain assets have specialized fee structures, such as Precious Metals and Sub-Brokerage investments. These Administration Fees differ from standard fees and are calculated separately from LLCs, Notes, Real Estate, Private Equity, and other Private Assets.
Precious Metals Depository Storage: NDTCO does not select the depository for the storage of your account’s precious metals investments. You, as the Account Holder, will need to select a storage provider. Storage fees are determined by the depository and billed to your NDTCO account.
Late Fees: Late fees are assessed thirty (30) days after the fee due date with a new late fee assessed every thirty (30) days thereafter, until payment in full of all past due fee(s) are received by NDTCO. Unpaid fee(s) may result in NDTCO beginning the process of closing the custodial account and distributing assets held directly to the Account Holder at its current market value.
Special Services: Charged on an hourly basis. Special services include, but are not limited to, account research, legal research, expedited investment review, and additional processing time for complex transactions. NDTCO will notify the Account Holder that such fees may be assessed before assessing them to the Account Holder. Forced Liquidation of assets by NDTCO to cover unpaid fees by the account holder is considered a special service and will result in a $150 fee per liquidation.
Online Bill Pay: All bill pay requests submitted through our online bill pay portal will be free of charge to our Account Holders.